DTI Report

Alkane Energy PLC
19 April 2004


19 April 2004


                          Alkane Energy plc ('Alkane')

                    DTI REPORT ON COAL MINE METHANE ('CMM')


The Directors note the publication of a report commissioned by the Department of
Trade and Industry, 'Coal Mine Methane - Review of Mechanisms for Control of
Emissions'.  The report considers the environmental problem of CMM emissions and
proposes a basis of support for the industry.  This will be through grants to be
awarded by the Coal Authority on a competitive tender basis rather than through
inclusion in the Renewables Obligation or a feed-in tariff.


In line with Alkane's revised strategy announced in March 2003, UK CMM now
represents only a small part of Alkane's activities following the suspension of
UK CMM developments and the acquisitions of Pro2 and Farmatic Biotech Energy.


The Directors will review the report and consider the implications for Alkane's
CMM business in the UK, and will make a further statement in due course.


ENDS


For further information:


Alkane Energy plc

Cameron Davies, Chairman

David Cross, Chief Executive                            01623 827927



Buchanan Communications

Sophie Morton                                     01943 883990


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